Latest news with #DallasFed
Bloomberg
02-06-2025
- Business
- Bloomberg
Logan Says Fed Can Wait as Risks to Inflation, Jobs Are Balanced
Federal Reserve Bank of Dallas President Lorie Logan said the US central bank can remain patient as it assesses risks to both inflation and unemployment. 'We're seeing risks on both sides of our dual mandate that appear fairly balanced,' Logan said Monday during a banking conference hosted by the Dallas Fed. 'That leaves us well positioned to wait for the data, to be patient and, if we get significant information that really changes the outlook on the balance of risks, we'll be prepared to respond.'
Yahoo
21-05-2025
- Business
- Yahoo
Logan Says Fed Should Strengthen Rate-Control Tools
Federal Reserve Bank of Dallas President Lorie Logan called for the US central bank to consider strengthening the mechanisms by which it keeps money-market interest rates from spiking during times of market stress. "These markets are extraordinarily strong, deep and liquid, as befits their systemic role. But they are not invulnerable," Logan said Monday at the Atlanta Fed's 2025 Financial Markets Conference in Fernandina Beach, Florida. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
20-05-2025
- Business
- Yahoo
Texas businesses feel the pinch from Trump's tariffs, Fed survey finds
DALLAS — Uncertainty spurred by President Donald Trump's trade policies is having a chilling effect on Texas businesses — a majority of which say consumers will ultimately pay the price of higher tariffs. Nearly 60% of Texas business owners say the Trump administration's back-and-forth on tariffs, a tax on imported goods, has already harmed their business, recent survey results by the Federal Reserve Bank of Dallas show. The constant change in policies has made it more difficult for businesses to plan ahead, forcing them to put off hiring and investing. 'Tariffs keep changing, so it's hard to make decisions right now,' one business owner told the Dallas Fed. Once those tariffs are in full swing, a majority of business owners said they expect the new levies to bite into profits, raise costs for businesses, and harm their business in the long run. More than 75% said they would pass increased costs from tariffs on to the consumer. Most said they'd do so within three months of tariffs taking effect. The April survey results come from the Dallas Fed, an arm of the Federal Reserve System. The Dallas Fed regularly surveys hundreds of Texas business owners across a range of industries to gauge their feelings about the economy, their business outlook and what effects policies have on their business. [Tariffs creating uncertainty in Texas as report shows slower revenue growth since late 2024] Trump has pursued tariffs on goods produced in other countries as a way to push consumers to buy more American-made goods, compel companies to relocate their manufacturing facilities in the U.S. and eliminate what he believes is an unfair trade imbalance between the U.S. and other countries. Economists have warned that families will bear higher costs as a result of tariffs, and that the country's economic output will suffer. Trump enacted a 10% baseline tariff on all countries in April, but initiated a 90-day pause on many additional tariffs targeted at specific countries he announced in April after global markets panicked. The administration has since sought to negotiate tariffs with individual countries. Trump said Friday his administration can't negotiate with every country and that many will see higher tariff rates without one-on-one talks with the U.S. More than two-thirds of business owners said they expect the cost of doing business to rise owing to higher material and equipment costs. A plurality expects revenue to fall and that they'll pull back on hiring, production and investment. Not every business said it plans to hike prices as a result of tariffs. Some 44% of businesses surveyed by the Dallas Fed said they'd absorb higher costs. Another 14% said they'd scale back their operations or shutter their business entirely. Some business owners plan to behave in ways Trump intended in response to tariffs. About 29% said they plan to find new domestic suppliers should they face higher duties on foreign goods. But less than 6% said they'd relocate production or services stateside. First round of TribFest speakers announced! Pulitzer Prize-winning columnist Maureen Dowd; U.S. Rep. Tony Gonzales, R-San Antonio; Fort Worth Mayor Mattie Parker; U.S. Sen. Adam Schiff, D-California; and U.S. Rep. Jasmine Crockett, D-Dallas are taking the stage Nov. 13–15 in Austin. Get your tickets today!
Yahoo
13-05-2025
- Business
- Yahoo
A top Fed official still sees a big economic hit coming from tariffs despite US-China talks
Fed Governor Adriana Kugler warned of tariff consequences even as US-China tensions ebbed. Investors should still brace for higher inflation and slower growth, she said. Markets are celebrating the rollback of US tariffs on China, but at least one Federal Reserve official still sees economic pain coming from the trade war. In a speech on Monday, Fed Gov. Adriana Kugler said that the country won't escape a negative supply shock, given that current tariff rates are ultimately still much higher than they have been in recent decades. "Trade policies are evolving and are likely to continue shifting, even as recently as this morning," she said Monday, referring to a US-Chinese agreement to temporarily dial down their tit-for-tat tariffs. "Still, they appear likely to generate significant economic effects even if tariffs stay close to the currently announced levels, and the uncertainty associated with these tariffs has already generated effects on the economy through front-loading, sentiment, and expectations." The effects Kugler foresees include sticky inflation and lower productivity, the essential ingredients for stagflation. Kugler cited a Dallas Fed survey that found 55% of executives plan to pass on tariff-related price increases. Inflation will eventually wear on real income, operating costs, productivity, and economic certainty. All told, she expects economic growth to come short of last year's 2.5% expansion. While her take isn't necessarily fresh, it stands out against the rapid optimism that took over markets on Monday. The sudden tariff truce between Washington and Beijing slashed recession outlooks among betting markets, supported by particularly upbeat commentary from Wall Street. To be sure, others also emphasized that tariffs remain a risk. "That will still be a drag, when we all know what tariffs do. As Chairman Powell said, they raise prices, reduce consumption, raise inflation," Evercore founder Roger Altman said Monday. Echoing Kugler's point, analysts at Goldman Sachs said that though the US-China trade talks lowered tariffs from triple digits, this implies no more than a 2 percentage point decrease in the US' current effective tariff rate. Read the original article on Business Insider Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
13-05-2025
- Business
- Yahoo
A top Fed official still sees a big economic hit coming from tariffs despite US-China talks
Fed Governor Adriana Kugler warned of tariff consequences even as US-China tensions ebbed. Investors should still brace for higher inflation and slower growth, she said. Markets are celebrating the rollback of US tariffs on China, but at least one Federal Reserve official still sees economic pain coming from the trade war. In a speech on Monday, Fed Gov. Adriana Kugler said that the country won't escape a negative supply shock, given that current tariff rates are ultimately still much higher than they have been in recent decades. "Trade policies are evolving and are likely to continue shifting, even as recently as this morning," she said Monday, referring to a US-Chinese agreement to temporarily dial down their tit-for-tat tariffs. "Still, they appear likely to generate significant economic effects even if tariffs stay close to the currently announced levels, and the uncertainty associated with these tariffs has already generated effects on the economy through front-loading, sentiment, and expectations." The effects Kugler foresees include sticky inflation and lower productivity, the essential ingredients for stagflation. Kugler cited a Dallas Fed survey that found 55% of executives plan to pass on tariff-related price increases. Inflation will eventually wear on real income, operating costs, productivity, and economic certainty. All told, she expects economic growth to come short of last year's 2.5% expansion. While her take isn't necessarily fresh, it stands out against the rapid optimism that took over markets on Monday. The sudden tariff truce between Washington and Beijing slashed recession outlooks among betting markets, supported by particularly upbeat commentary from Wall Street. To be sure, others also emphasized that tariffs remain a risk. "That will still be a drag, when we all know what tariffs do. As Chairman Powell said, they raise prices, reduce consumption, raise inflation," Evercore founder Roger Altman said Monday. Echoing Kugler's point, analysts at Goldman Sachs said that though the US-China trade talks lowered tariffs from triple digits, this implies no more than a 2 percentage point decrease in the US' current effective tariff rate. Read the original article on Business Insider Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
